If they paid you (say) £50 - you transferred it out and your balance was £0. They then complained and Paypal took the £50 out of your account and put in in a holding account. Your account is now £-50. You've transferred £50 in so your account balance is now £0. You cannot now refund him the money as your account balance is £0. You willl need to transfer money back in to be able to refund him. Paypal will then see what you've done and release the holding money. You should not have transferred the money to your bank if you were not happy and as a rule you really shouldn't take the money out of your PayPal account until you know the item has been delivered safely to your buyer. Hope that helps
... View more
